US credit unions lose “primary” status with many older Millennials, according to a new report from the credit scoring experts at FICO.
FICO surveyed young adults, finding that 20 percent of 18-24 year-olds say they use a credit union as their primary financial.
Data shows 18-24 year olds are attracted to low and transparent fee structures and better interest rates.
FICO said that Millennial respondents aged 25-34 say they are two-to-three times more likely to close all accounts with their primary financial institution than other age groups, creating an opportunity for credit unions to win their business.
However, CUs need to promote their best features: FICO found that only 42 percent of credit union members are using their institution's mobile app, compared to 64 percent of customers at large national banks.
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